Teach your kids trading
- Thread starter pinetboltz
- Start date
@destriero
mmm ok, hope you treat your kids with more civility and less abusive language
nothing worse than a father with anger mgmt issues
mmm ok, hope you treat your kids with more civility and less abusive language
nothing worse than a father with anger mgmt issues
One of the things that was surprising about the game is that one is dealt a random occupation with it’s resulting typical salary and bills for the lifestyle. A common misconception is thinking that high paying professions such as doctors, lawyers, etc are advantageous in exiting the ‘rat race’ of living paycheck to paycheck.
There is an add-on that specifically goes into stock trading that is appropriately geared for a beginner.
Coming from a blue collar household where money was rarely discussed, I wish I was exposed to it early in life. It would have saved a lot of time by not pursuing structural ‘dead ends.’
A few insights as someone who learned the financial lessons well:
Start with savings and delayed gratification. My dad always made sure to remind me of other things I'd said I'd wanted in the days before I bought something like a new toy. Now with every transaction I make, that trade-off is always in the back of my mind.
Ingrain into them the importance of savings and emergency funds. For example, one account for big stuff you want to save for that you never touch when thinning your budget is still an option. I was in my mid-20s, and was complaining to my dad about a cash crunch I was in, and he asked why I didn't have any emergency funds like I had been taught--it hadn't occurred to me that the brief financial hit was exactly the kind of thing those funds were there for. So, I drained my account and for the first time ever realized what paycheck-to-paycheck meant while I built that account back up for about 6 months. That's the level of importance with which savings was taught to me.
Teach them priorities. Friends were always amazed that I was able to save money for retirement (including maxing out IRA contributions since they were almost 1/4 of my first full-time job income), save for trips to Europe, and still make ends meet to live pretty comfortably. I could usually point out just a few things in the last week they had bought that would have covered X days of hostel bed in Europe. I never had the nicest car, newest clothes, or many toys--but I could afford them now if I wanted them.
Also, relate these things to them in real terms. "Hey, remember when I told you about the company that made this payment station a year ago? If you had put the money you spent on ice cream ever weekend into that stock instead, it would be worth $750 right now, and 3 times what you spent on it." (An actual conversation I had with a friend...purchasing cigarettes, checking out on a Square POS system; and for considerably more money given his pack-a-day habit).
Don't force it. There are books and sports I hate to this day because I was forced to read / participate. Don't make financial well-being something your kid can rebel against--that one's gonna backfire.
Don't be afraid to co-opt an interest in video games. There's so many times I've thought to myself the market is no different that a giant MMO video game with a really important score. That's always a source of confidence for me, that I don't need to be the best but I can constantly improve and get better.
I'm not sure when my dad started teaching me these things, but there's no time I can remember when he didn't take every opportunity to teach me how important personal finance was.
Start with savings and delayed gratification. My dad always made sure to remind me of other things I'd said I'd wanted in the days before I bought something like a new toy. Now with every transaction I make, that trade-off is always in the back of my mind.
Ingrain into them the importance of savings and emergency funds. For example, one account for big stuff you want to save for that you never touch when thinning your budget is still an option. I was in my mid-20s, and was complaining to my dad about a cash crunch I was in, and he asked why I didn't have any emergency funds like I had been taught--it hadn't occurred to me that the brief financial hit was exactly the kind of thing those funds were there for. So, I drained my account and for the first time ever realized what paycheck-to-paycheck meant while I built that account back up for about 6 months. That's the level of importance with which savings was taught to me.
Teach them priorities. Friends were always amazed that I was able to save money for retirement (including maxing out IRA contributions since they were almost 1/4 of my first full-time job income), save for trips to Europe, and still make ends meet to live pretty comfortably. I could usually point out just a few things in the last week they had bought that would have covered X days of hostel bed in Europe. I never had the nicest car, newest clothes, or many toys--but I could afford them now if I wanted them.
Also, relate these things to them in real terms. "Hey, remember when I told you about the company that made this payment station a year ago? If you had put the money you spent on ice cream ever weekend into that stock instead, it would be worth $750 right now, and 3 times what you spent on it." (An actual conversation I had with a friend...purchasing cigarettes, checking out on a Square POS system; and for considerably more money given his pack-a-day habit).
Don't force it. There are books and sports I hate to this day because I was forced to read / participate. Don't make financial well-being something your kid can rebel against--that one's gonna backfire.
Don't be afraid to co-opt an interest in video games. There's so many times I've thought to myself the market is no different that a giant MMO video game with a really important score. That's always a source of confidence for me, that I don't need to be the best but I can constantly improve and get better.
I'm not sure when my dad started teaching me these things, but there's no time I can remember when he didn't take every opportunity to teach me how important personal finance was.
America has lost concepts taught in 1950s, very little honor in people, hardly anyone accepts responsibility of making a mistakes, back in the 1960s a handshake meant it was a contract. Now way too many people cheat at anything. You don't have to teach them how to trade, from birth we trade. You go to flea markets or car dealer and you negotiate. Women want closeness and men want sex, always been trading but people don't realize this, buy low and sell high, and yet so many "try" trading the markets and have 500 excuses why they can't get it. Buy low, sell high, risk small and exit tall. That is life and that is trading.
Teach your kids it ok to make mistakes and often, accept them as opportunities to try again and again. Teach them to work, drag them to culture events and discuss afterwards, teach them to dance and don't care who see them, teach them to be open minded for those who say it can't be done-find a way to be done. Let them be kids.
Teach your kids it ok to make mistakes and often, accept them as opportunities to try again and again. Teach them to work, drag them to culture events and discuss afterwards, teach them to dance and don't care who see them, teach them to be open minded for those who say it can't be done-find a way to be done. Let them be kids.
it's like that Japanese trader with US$200mm https://www.bloomberg.com/news/arti...-panicked-japanese-day-trader-made-34-million, supposedly got his start playing pachinko and continues to play video games
totally, so many people avoid any discussion about money, making it into a taboo topic, when really it's a tool like any other.
a lot of kids grow up with money anxiety and math anxiety, all from implicit conditioning in their environment
Thats a great post.
I probably have 20 posts on ET where I've said I feel sorry for Jughead's kids.
I finally got under his skin and he had to start a trading thread about how adept one of them is at trading.
Poor kid is probably terrified and hates trading. I can just see it...."(trembling)....If you say so dad...".